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PSATS Calls for Preservation of Act 13 Impact Fee Structure

Friday May 9th, 2014

With the state’s constitutional budget deadline of June 30 looming and the current budget deficit increasing, no action has been taken on Gov. Tom Corbett’s proposed 2014-2015 state budget. Instead, the budget is on hold until June, when the legislature and governor must figure out how to fill the growing gap. The question of the day is how will the hole be filled? With cuts alone or must new revenues be found?

The Joint Legislative Budget and Finance Committee recently released a study commissioned by the state Senate, which noted the success of gaming in Pennsylvania and singled out Internet gaming as one area that could provide additional revenues.

Another possible revenue source mentioned in recent weeks is a natural gas severance tax.

PSATS is making it clear that the current funding streams from the natural gas drilling impact fee, which benefit municipalities, must be preserved. In fact, members passed a resolution at PSATS' Annual Conference in April that directs the Association to oppose any legislation that would reduce the allocation of funds to municipalities pursuant to Act 13 of 2012.